Happy New Year, everyone!

At the start of the year, I would like to respectfully extend my best wishes for a wonderful new year to all Toyota Tsusho Group employees and their families around the world.

As we welcome this new year of 2025, I would like to reflect on last year and talk about what I would like us all to engage in together this year.

First, let us look back at last year.

Although the global economy continues to grow steadily, it is weaker and growing at a lower level than in the past few years. Behind this lies changes in the external environment, including heightened geopolitical risks and an increase in natural disasters. Particularly, conflict in the Middle East and U.S.-China trade friction are seriously impacting supply chains and increasing the risk of inflation. China's slowing economic growth has also become a major cause for concern, and its prolonged real estate slump, financial risks, and companies' excess production capacity will majorly impact not only its economy but also the global economy.

Turning to the automotive industry, EV market growth slowed last year. This was due to intensified competition brought on by both emerging and established EV manufacturers expanding their lineups and initial demand having run its course due to reconsideration of government subsidies in various countries.

In these rapidly changing times, by providing the diverse options that the market and our customers need, we must become a presence that is chosen, with an eye toward mid- to long-term changes. It is important to always have plans A, B, and C in place for various risks and to have a mindset for minimizing and managing risks and even turning various risks into opportunities.

Our company has continued to grow steadily even after the onset of the COVID-19 pandemic. This growth is proof that the steps we took from strengthening our inherent capabilities in FY2023 to positioning FY2024 as the year for implementing our strategy were correct. At the same time, it is the result of each of you taking on challenges that go beyond extensions of the past. Let us never forget to be grateful to our customers and business partners, who have supported our growth, and let us humbly and steadily build up our efforts to be a presence that continues to be chosen.

Next, I would like to talk about three initiatives that I would like to implement with all of you this year.

Although I conveyed the following in my Management Mission Statement announced internally this past November, please allow me to mention it again.

The three key terms in that mission statement were "mission", "Toyota Tsusho DNA", and "returns".

The first initiative that I would like to talk about is thoroughly pursuing and achieving the mission of each organization.

To realize our company's ideal image, the missions of each organization and individual must be firmly linked and aligned in the same direction. When our company and employees share the same vector, each employee will be able to talk about his or her role in the company in his or her own words and will also experience greater fulfillment, a sense of purpose, and achievement. I believe that true corporate value is the sum of how much employees empathize with the ideal image of their company and its organizations, how aware they are of their specific missions, and the enthusiasm behind loving one's job and one's company. With the mission of each organization igniting a passionate flame in each of your hearts, by turning the light of that flame into great enthusiasm, let us achieve our company's ideal image together.

The second initiative that I would like to talk about is instilling, passing on, and evolving the Toyota Tsusho DNA.

In response to the announcement in January last year of the Toyota Group Vision "Inventing our path forward, together", our Toyota Tsusho DNA project formulated the three key words of "Humanity", "Gembality"^*1, and "Beyond". I have recently come to feel that I am hearing these key words more frequently in your daily conversations.

Please continue to actively discuss in your workplaces what actions are necessary to pursue Humanity, what specific initiatives are needed to put Gembality into practice, and how to build relationships with customers to achieve Beyond.

I believe that talking to each other and telling your own stories that demonstrate our DNA will lead to each person understanding it, to our DNA becoming a part of each of you, and to it permeating throughout the entire company so that it can be passed on to the future and evolve.

The third initiative that I would like to talk about is embracing the idea that economic value means insisting on achieving returns.

Our company is targeting profit attributable to owners of the parent of 350 billion yen for the fiscal year ending March 2025 and 400 billion yen for the fiscal year ending March 2027. Over the three years from the fiscal year ending March 2025 to the fiscal year ending March 2027, we plan to generate a cumulative operating cash flow of at least 1.3 trillion yen, of which at least 1 trillion yen is to be allocated to growth investments.

Growth investments are to be allocated to our three value domains: the Core Value Domain, which incorporates our core businesses common to all divisions, Africa, and next-generation mobility; the Social Value Domain, which covers the ​​circular economy, batteries, and the economy of life; and the Nature Value Domain, which consists of ​renewable energy, energy management, and hydrogen and alternative fuels. For each domain, we have set ROIC targets.

Asking ourselves and determining whether or not our existing and new businesses are truly "Be the Right ONE" businesses for our company and society, let us pursue work that is unique to Toyota Tsusho.

Finally, while sharing with everyone the three values of "safety and compliance are the cornerstones of all work", "cherishing coexistence with local communities and nature", and "never mistaking the order of priority of S→Q→D→C^*2", let us all work together again this year to create a better society and bring smiles and happiness to the world.

Let me conclude my New Year's greeting by sincerely wishing that 2025 will be a year filled with health, smiles, and happiness for all of our employees and their families.

Thank you very much.

^*1Coined by combining "gemba" (workplace, or "the source at which the facts can be found") and "reality"
^*2Safety→Quality→Delivery time→Cost